Tourist spending continues to reduce the burden on local taxpayers
SHELBYVILLE, Ky. (August 6, 2026) — Visitors to Shelby County generated nearly half a million dollars in the last twelve months for local parks, community improvements, and quality of life initiatives through the county's transient room tax, ShelbyKY Tourism announced today. The funds, paid entirely by overnight visitors staying in hotels and vacation rentals, are reinvested into local communities rather than funded through property or income taxes.
Every overnight stay in a Shelby County hotel or vacation rental, including Airbnbs and VRBOs, includes a 3% transient room tax. The revenue is distributed among the Shelby County Fiscal Court, Shelbyville-Shelby County Parks & Recreation, the City of Shelbyville, the City of Simpsonville, and the City of Simpsonville Parks Department in accordance with an interlocal agreement governing the Shelby County Tourism Commission.
This year's distributions totaled $455,508.25, including:
- Shelby County Fiscal Court (45%) — $204,978.71
- Shelby County Parks & Recreation (20%) — $91,101.65
- City of Shelbyville (15%) — $68,326.24
- City of Simpsonville (15%) — $68,326.24
- City of Simpsonville Parks (5%) — $22,775.41
These distributions are in addition to the restaurant tax revenue received by the Cities of Shelbyville and Simpsonville. During the fiscal year ending June 30, 2026, the City of Shelbyville received $810,509.58 in restaurant tax revenue, while the City of Simpsonville received $313,402.87. Both cities use those funds for tourism-related quality of life enhancements.
"In 2025, our community experienced record-breaking overnight stays in hotels and vacation rentals, resulting in the highest transient tax collection in our history. In turn, record-breaking funding distributions were made from those tourism dollars to our Fiscal Court, local parks, the City of Shelbyville and City of Simpsonville for tourism-related community improvements. These distributions help protect general funds, which reduce the burden on local taxpayers. Tourism is one of the few industries where non-residents contribute to a local economy and ask nothing in return other than a memorable experience," said Janette Marson, president and chief executive officer of ShelbyKY Tourism.
An additional 1% transient room tax is collected on hotel and vacation rental stays to support the operations of the Shelbyville Conference Center. That tax generated $151,836.08 during the fiscal year ending June 30, 2026.
The distributions were approved during the July meeting of the ShelbyKY Tourism Board of Directors. Board meetings are open to the public and are held at the Shelbyville Conference Center, 219 7th Street, Shelbyville, on the fourth Tuesday of each month at 9 a.m.
###
Media Contact: Mason Warren — mason@visitshelbyky.com / 502.633.6388 or 502.321.9975
